Van Elle Holdings Plc · LSE:VANL
Van Elle — Investor Presentation (July 2022)
28 slides from Van Elle's investor presentation, July 2022
Slide 1: Total Foundation Solutions. Rail Investor Presentation
TOTAL FOUNDATION SOLUTIONS. VAN ELLE HOLDINGS PLC RAIL INVESTOR PRESENTATION
Slide 2: Contents
Contents • Introductions • UK Rail Sector Overview • Van Elle Strategy & Opportunities • Summary and Questions 2 VAN ELLE HOLDINGS PLC
Slide 3: Introductions
introductions Mark Cutler Graeme campbell Chief Executive Chief Financial Officer Dave Warner David Buckley Director, Specialist Piling & Director, Rail & Strata ScrewFast Foundations Geotechnics 3 VAN ELLE HOLDINGS PLC
Slide 4: UK Rail Sector - Overview
UK RAIL sector - overview 4 VAN ELLE HOLDINGS PLC
Slide 5: Political and industry outlook
Political and industry outlook • Formation of Great British Railways (Williams - Shapps) • Lower passenger numbers post-COVID, budget cuts at Network Rail • CP6 volumes currently satisfactory • CP6 to CP7 transition 2024 – potential slowdown • Government commitment to decarbonisation poised to drive
Slide 6: Routes to market
routes to market Network Rail • Network Rail (NR) is ultimate and primary customer for most work • 5 regions, 14 routes, each with autonomy • Funding is provided by the government in 5-year control periods (CP) • CP6 (2019-2024) spend is £19.1bn on Renewals; primarily Civils & Geotechnical, Track an
Slide 7: Network Rail – Renewals
Network rail – Renewals Tier 1 FRAMEWORK Contractors – renewals • National Signalling Frameworks Siemens, Alstom, Hitachi/Linbrooke, Amey • National Track Alliances South (Colas), Central (Balfour Beatty/TSO), Scotland (Babcock) • Regional Civils and Geotechnical Frameworks BAM, AMCO, Story, Osborne
Slide 8: Network Rail – Enhancements
Network rail – enhancements Tier 1 contractors - Enhancements • Electrification Core Valley Lines - Amey Midland Main Line – SPL/Balfour Beatty/Amey • TRU East of Leeds – Volker/Murphy West of Leeds – Amey/Bam • East-West Rail Laing O’Rourke/Volker 8 VAN ELLE HOLDINGS PLC
Slide 9: High Speed 2
High Speed 2 Phase 1 and phase 2 opportunities; FY23 onwards Phase 1 (London – Birmingham) • Various early packages completed for civils JV's • Scale of piling works increases during 2022, discussing packages with BBV and EKFB for structures, embankments and ancillary works • Well positioned for rai
Slide 10: Electrification outlook - England and Wales
Electrification outlook - ENGLAND AND WALES Traction decarbonisation network Strategy • 11,700 STK of Overhead Line Electrification • 400 STK battery operation • 900 STK hydrogen operation • 2,300 STK still yet to choose Projects with dft approval • Transpennine Route Upgrade • Midland Mainline • Wi
Slide 11: Electrification outlook - Scotland
Electrification outlook - Scotland 11 VAN ELLE HOLDINGS PLC
Slide 12: Network Electrification
NETWORK ELECTRIFICATION Source: Rail Industry Association 12 VAN ELLE HOLDINGS PLC
Slide 13: Signalling Market
Signalling Market Network rail LONG term deployment plan (ltdp) to CP13 • Long-term plan to retain signalling assets and replace analogue with digital to interface with new rolling stock • NWR £2.4bn remaining signalling spend in CP6 secured, with a plan to continue into CP7-13, peaking in CP7-9 • D
Slide 14: Van Elle strategy and opportunities
Van Elle strategy and opportunities 14 VAN ELLE HOLDINGS PLC
Slide 15: Delivery Model
DELIVERY MODEL • Four of the Group’s business units are active in the rail sector: General Piling, Specialist Piling, Rail and Strata • The Rail division was formed in 2015 and built its reputation off the Great Western Electrification programme (GWEP) • Since GWEP completed in 2018 there has been a
Slide 16: Our Customers
Our Customers 16 VAN ELLE HOLDINGS PLC
Slide 17: Our competitors / Our USP
Our competitors / Our usp 17 VAN ELLE HOLDINGS PLC
Slide 18: Strategy
STRATEGY Continue to Diversification Maximise Expand Develop grow market (signalling, opportunity involvement embedded share of CP6 ancillary civils from new on High Speed CP7 strategic renewals & electrification 2 partnerships workload international) MITIGATE POTENTIAL CP6/7 DIP 18 VAN ELLE HOLDING
Slide 19: Summary of future opportunities (UK)
Summary of future opportunities (UK) Enhancements • CVL Phase 2 • TRU • Midland Mainline electrification – Wigston to Nottingham and Sheffield • Wigan to Bolton electrification • Scotland decarbonisation Renewals & Stations • CP6 years 4 & 5 work-bank and early transition to CP7 SIGNALLING & CIVILS
Slide 20: Electrification of Core Valley Lines
Electrification of Core Valley Lines • £740m transformation of South Wales Rail Network • 108 miles of electrification, 3500+ piles of various type • Ground Investigation, foundations and steelwork erection contracts for Amey • Strata GI package pre-cursor to foundations scope • 20% complete 20 VAN
Slide 21: Transpennine Route Upgrade West
Transpennine Route upgrade West • £3-5bn programme including 15 Stations, 134km of track, re-signalling, 79 bridges, 9 tunnels and 56km of electrification • Awarded new piling framework • Piling work commencing in H2 FY23, through to FY25 • General Piling, Specialist Piling and Rail divisions involv
Slide 22: Stations
Stations Brent Cross - Volker Coventry - Buckingham Gatwick Airport - Costain Birmingham University - Volker Perry Barr - Galliford Try • Huge experience – track record of over 200 station projects completed • Integrated delivery model and unique capability between Specialist Piling and Rail divisio
Slide 23: Slopes and embankments
Slopes and embankments Eden Brows – stabilisation of a deep slip on Carlisle to Settle line FY19, c.£5m for Story Balcombe Embankment stabilisation on Brighton mainline FY22; c.£2m for Bam • CP6 geotechnical programmes including emergency works • Increasingly prioritising slope stabilisation schemes
Slide 24: Signalling and civils
signalling and civils Successful Diversification into signalling market • Unique offering to combine piling and minor civils into single packages • Dedicated team appointed and investment in new lighter RRV machines for civils • Key customers; Siemens, Alstom, Linbrooke, Osborne • Important entry to
Slide 25: The Rail Sector – CP7 Framework procurement
The Rail Sector – CP7 Framework procurement Scotland • Electrification Framework Q3 2022, • Multi-disciplinary lots Q1 2023 North West and Central Van Elle Strategy • Procurement July - Oct 22 • Tier 1 relationships (SPL, REL (QTS), RSA) • Multiple specialist discipline lots • Existing Framework sup
Slide 26: Rig, technology & skilled resources
Rig, technology & skillED RESOURCES engineering knowledge + rig fleet + attachments + resources • Colmar fleet upgrade programme • Modernising the fleet with new UK partners • Attachment innovations (DTH, drill masts, manipulator) • Training next generation of RRV piling operators • Investing in app
Slide 27: Summary
SUMMARY • CP6 spends are satisfactory, CP7 will have a reduced budget, but signalling spend will continue • Decarbonisation promises by government will drive electrification schemes in Scotland then England • HS2 growth expected FY23-FY25 • Van Elle integrated and broad capability, management improv
Slide 28: Thank you
THANK you 28 VAN ELLE HOLDINGS PLC
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